• The Department of Homeland Security has proposed a $70,000 fee for international students seeking work authorization through Optional Practical Training (OPT), with an additional $30,000 for subsequent participation.
  • The fee, currently roughly $500, would be paid by schools, but institutions could pass costs to students or employers, potentially making U.S. employment significantly harder for foreign graduates.
  • The proposal faces a 30-day public comment period ending November 9 and is likely to face legal challenges before taking effect.

A Steep Barrier for International Talent

In a move that could reshape the landscape for international students and U.S. employers, the Department of Homeland Security (DHS) on October 7 announced a proposed rule that would impose a $70,000 fee on certified schools for each international student they recommend for Optional Practical Training (OPT). A subsequent participation would cost an additional $30,000. The proposal, first reported by Bloomberg Law, represents a dramatic increase from the current employment-authorization application fee of roughly $500 and is aimed at protecting American workers and curbing fraud, according to DHS.

The fee would be triggered by an OPT recommendation, not an annual renewal, and would cover pre-completion, post-completion, and STEM OPT extensions. Schools, which would be legally responsible for payment, could pass the cost to students or employers—leaving the ultimate financial burden uncertain. The public has until November 9 to comment on the proposal, with a separate paperwork-related section allowing 60 days. DHS must review comments before finalizing the rule, and litigation is widely anticipated.

Economic Ripples

The proposal lands as international enrollment is already under pressure. New international-student enrollment fell 17% in fall 2025, according to education-sector data, and a August 2026 NAFSA outlook projected that lower enrollment could cost up to $3.4 billion in economic contributions and nearly 40,000 jobs. International students contributed $42.9 billion and supported 355,736 U.S. jobs during the 2024–25 academic year, NAFSA estimates—figures that cover all international students, not just OPT participants.

If implemented, the fee could hit smaller employers and lower-paid training opportunities hardest, as they are less able to absorb a large fixed charge. Universities, which recruit international students partly for tuition revenue, may become more selective in recommending OPT, and surrounding communities could see reduced student spending. The technology sector, a major user of OPT graduates, could also face a tighter talent pipeline.

Legal and Political Hurdles

DHS argues the fee would encourage greater oversight and selectivity, protect American workers, and address “pay-to-stay” schemes. But critics contend it would undermine U.S. innovation and global leadership. “This proposal would make it significantly harder for international students to gain the work experience that is a key reason they choose the United States,” said Sarah Spreitzer, vice president at the American Council on Education. NAFSA executive director Fanta Aw has announced plans to mobilize detailed comments opposing the rule.

The proposal’s fate is uncertain. A previous STEM-extension rule was challenged over notice-and-comment procedures, and subsequent litigation challenged DHS’s authority to maintain post-graduation OPT. Former USCIS senior adviser Doug Rand predicts the fee would be struck down, but that is an expert assessment, not a court ruling. Immigration lawyer Steven Brown described the fee as a potential way to “kill the program without killing the program.”

The announcement follows other restrictive measures, including a lawsuit over ICE guidance on Curricular Practical Training (CPT) and a blocked rule requiring additional federal approval for students staying beyond four years. The administration has also sought higher H-1B visa charges. As the comment period proceeds, the key questions are whether DHS will revise the fee structure and who—schools, students, or employers—will ultimately bear the cost.

Correction: An earlier version of this article misstated the current OPT application fee. It is $470 online or $520 on paper, not roughly $500. The proposed $70,000 charge is a school-paid OPT participation fee, not an increase in the application fee.